OREANDA-NEWS. Indian Oil Corporation Ltd. has decided to increase the retail selling prices of Petrol w.e.f midnight of 14th/ 15th July’13 by Rs 1.55/litre (excluding VAT) at Delhi.

Since last price change, the downward spiral of Rupee against the USD dollar has continued to reach a low of Rs 60.03/USD as against Rs. 58.94/USD during the previous fortnight. Further, international MS prices have also shown an uptrend and increased from USD 115.29/bbl to USD 117.19/bbl. The combined impact of deteriorating exchange rate and increasing international oil prices has resulted in the need to increase Petrol prices by Rs 1.55/litre (excl. VAT).

Further, the aforesaid factors have also resulted in further increase in under-recovery on sensitive petroleum products. At current level, IOC is suffering under-recovery on sale of HSD (Retail) of Rs. 9.45/litre, SKO (PDS) of Rs.30.53/litre & LPG (Dom) of Rs.368.50/cyl. For the year 2013-14, the Corporation is expected to incur under-recovery of Rs 67,000 crore on sale of three sensitive products (Industry: Rs 1,26,000 crore).

The movement of prices in international oil markets and INR-USD exchange rate is being closely monitored and developing trends of the market will be reflected in future price changes.